The survey’s broadest measure of manufacturing conditions,
the diffusion index of current activity, increased from
a reading of ‐10.7 in November to 8.1 this month.
This is the highest reading since April and is slightly
above the reading before the post‐storm decline in November
(see Chart). The demand for manufactured goods picked
up: the new orders index increased 15 points, from ‐4.6
in November to 10.7 this month.

The current shipments index also improved notably, rising by
25 points.

Labor market conditions at the reporting firms improved
marginally this month. The current employment index,
at 3.6, registered its first positive reading in six
months. The percentage of firms reporting increases in employment
(20 percent) narrowly exceeded the percentage reporting
decreases (16 percent). Firms also indicated an increase in
the average workweek compared to last month.